Zim company considers tobacco exports through Walvis Bay

October 24, 2022 1156

Zimbabwe's biggest transport and logistics company, Bak Logistics, is considering exporting part of the country’s tobacco crop through Walvis Bay.

This follows the Walvis Bay Corridor Group (WBCG)’s visit to Zimbabwe last week. The visit was aimed at, among other things, to market the Walvis Bay port as well as to lobby Zimbabwean logistics businesses to make use of the port.

“Zimbabwe exports about 250 million kg of tobacco and our partners believe getting half of that through Walvis Bay would be a game charger in terms of bringing rates down,” said Joshua Mukarati, Head of Supply Chain at Bak Logistics.

He added that the parties are working on reducing transport costs on the 2300 km Harare to Walvis Bay route.

Tobacco, commonly referred to as the golden leaf, is one of Zimbabwe's highest export products, with the country raking in over US$1 billion annually.

WBCG and Bak Logistics, a wholly owned subsidiary of Zimbabwe Stock Exchange listed TSL Limited, are set to enter into a strategic partnership, with an agreement expected to be inked before year end.

The proposed partnership will enable Bak Logistics to assist the WBCG with marketing and business development activities in Zimbabwe, in exchange for the WBCG opening opportunities for Zimbabwean cargo through Namibia.

“The collaboration ensures that the Walvis Bay Port and Corridors are constantly promoted to the Zimbabwean market,” added people familiar with the matter.

WBCG CEO Mbahupu Tjivikua said the strategic partnership with Bak logistics aims to drive volumes on the import and export of goods from Zimbabwe via the port of Walvis Bay.

“We are forming a strategic partnership with Bak Logistics. We complement one another. We will share information and possibly increase our market share while at the same time ensuring that we create efficiency in the supply chain,” he said.

The partnership discussions with Bak Logistics began in 2021 and progressed in January 2022.

During the Zimbabwe visit, the WBCG delegation also met with ZimTrade, MSC Shipping, the Zimbabwe Horticulture Growers Association, FSG Fertilizer, and ALRO Shipping, among others.

In addition, the team also paid visits to the Hwange Colliery Mining Company

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Last modified on Wednesday, 26 October 2022 18:55